Cost of Downtime
•The cost of downtime varies from company to company.
•Contingency Planning and Research estimates it at approximately $6.5 million per hour at retail brokerage houses.
•When estimating the cost of downtime, remember to factor in all of the costs including
–Lost business during the outage
–Cost of catching up after systems are once again available
–Legal cost of any lawsuits
–Impact of reduced stock value
•Additionally, downtime can negatively impact a company’s image. Recovering from negative publicity can be a difficult, if not impossible, task.